The Factories (Gujarat Amendment) Ordinance, 2025 marks a significant and forward-looking step in aligning Gujarat’s labour laws with the evolving needs of industrial operations. While it introduces greater operational flexibility for factories, it concurrently places heightened responsibility on employers to safeguard worker welfare particularly for women employees, who are now permitted to work night shifts under strict safety conditions.
This ordinance was promulgated by the Governor of Gujarat under Article 213 of the Constitution of India, a provision that allows the issuance of ordinances when the state legislature is not in session. It received Presidential assent, thereby granting it immediate legal effect. However, as a temporary legislative instrument, the ordinance must be placed before the Gujarat Legislative Assembly and ratified within six weeks of its reassembly; failing which, it will automatically lapse.
As the ordinance awaits ratification from State Legislative Assembly, all stakeholders especially employers and HR professionals must act swiftly to revise internal policies and ensure compliance during this transitional period.
A comparative overview of the key differences between the original Factories Act, 1948 and the amended provisions introduced by the Factories (Gujarat Amendment) Ordinance, 2025:
| Section Reference | Title | Factories Act, 1948 | Factories (Gujarat Amendment) Ordinance, 2025 |
|---|---|---|---|
| Section 54 | Daily hours | Daily working hours: nine (9) hours/ day (inclusive of rest), with a weekly cap of forty-eight (48) hours. | Section 54(2) has been inserted wherein, Daily working hours:twelve (12) hours/day (inclusive of rest), with a weekly cap of forty-eight (48) hours. |
| Section 55 | Intervals for rest | Workers can work up to five (5) continuous hours without a break. | Workers can work up to six (6) continuous hours without a break. |
| Section 56 | Spread over | Spread-over can now be up to ten and a half (10.5) hours including intervals for rest in respect of any group or class or description of factories. | Spread-over can now be up to twelve (12) hours including intervals for rest in respect of any group or class or description of factories. |
| Section 59(1) | Extra wages for Overtime | If a factory worker works more than nine (9) hours in a day or more than forty-eight (48) hours in a week, they are entitled to overtime wages at twice (2) their ordinary rate of wages. | A factory worker is entitled to overtime wages at twice (2) the ordinary rate if they:
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| Section 65(3) | Power to make exempting orders | Quarterly overtime limit is seventy-five (75) hours. | Quarterly overtime limit increased to one hundred and twenty-five (125) hours. Section 65(3)(v) has been inserted wherein, written consent of worker mandatory for overtime. |
| Section 66(1) | Restrictions on Employment of Women |
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Section 66(1) has been substituted wherein, women permitted to work night shifts (7 PM – 6 AM) with certain safety conditions:
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Conclusion
The Factories (Gujarat Amendment) Ordinance, 2025 introduces pivotal reforms aimed at enhancing industrial efficiency while ensuring worker welfare. Employers must act promptly to ensure legal compliance and uphold worker safety and rights.
Disclaimer
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